[SMM Lecong Hot-Rolled Coil Inventory] Lecong's Inventory Buildup Slowed This Week

[SMM Steel] Arabian Gulf Steel Industries has started a new rebar rolling mill (HRM 3) in UAE, adding 600,000 mt/year capacity and lifting total rolling capacity to 1.24 million mt. The mill is integrated with the meltshop, improving efficiency and supporting low-carbon production. In the short term, increased domestic supply is expected to enhance local availability and reduce reliance on imports, with limited exports depending on demand.

[SMM Steel] Vietnam steel consumption showed strong domestic growth in early 2026, with construction steel up 39% YoY and HRC surging 214% YoY, driven mainly by local demand . Meanwhile, exports declined, especially for coated steel (-45% YoY), due to increasing trade barriers in markets like the EU. In the short term, strong domestic demand is offsetting export weakness, supporting sales and prices, while coated steel segments remain under pressure.

[SMM Steel] Marcegaglia, in partnership with Danieli, plans to invest €1 billion in a new EAF-based steel plant in Fos-sur-Mer, France. The facility is designed to produce >2 million mt of steel and up to 3 million mt of HRC annually. In the short term, the project signals future supply expansion and a shift toward low-carbon steel, though no immediate market impact is expected before final approval.